Bitcoin accumulation is experiencing a resurgence, leading to a significant decrease in the supply of Bitcoin on the popular crypto exchange Coinbase. This drop in reserves has pushed the price of Bitcoin above $70,000, marking a notable milestone in its recent performance. Recent data from CoinMarketCap highlights Bitcoin's climb to its highest point since mid-March, underlining the growing interest in acquiring and holding onto this digital asset.

Investors are actively acquiring Bitcoin from exchanges, with Coinbase's reserves hitting a nine-year low of 344,856 BTC on March 18. This trend indicates a shift towards holding Bitcoin rather than trading it actively on exchanges, as seen in the dwindling reserves on platforms like Coinbase.

The latest data from Glassnode reveals that Coinbase's Bitcoin holdings have not been this low since 2015. Concurrently, accumulation addresses, which are wallets holding more than 10 BTC without connections to centralized exchanges or mining entities, have surged to a record high of over 3.2 million BTC. This suggests a growing preference among investors, especially larger players, to accumulate Bitcoin for potential future gains.

A recent report by CryptoQuant contributor IT Tech highlights a significant spike in Bitcoin inflows to accumulation addresses, hitting an all-time high of 25,300 BTC on March 22. This influx underscores the increasing interest from institutional investors who are likely anticipating further price appreciation following a recent dip from Bitcoin's all-time high.

Furthermore, data from CryptoQuant indicates that the total Bitcoin held by all exchanges dropped to a three-year low of 1.92 million BTC on March 25. This decline in exchange reserves, coupled with substantial inflows from exchange-traded funds (ETFs), suggests a growing demand for Bitcoin and a potential bullish outlook for its price. The current dynamics in Bitcoin accumulation and exchange reserves hint at a market sentiment favoring long-term holding and investment in this leading cryptocurrency.